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Premiums for students are usually at the highest level they will be over the course of a driver’s life, so moody will want to land a £1,000 fine on top of that.

Motorists don’t only risk a fine but they could also not receive a payout when they need to make a claim after an accident.

GoCompare has issued the warning to motorists about their licence and car insurance as they could land a hefty bill.

By law, motorists were required by the DVLA to keep their V5C vehicle logo up to date.

Motorists are required to keep the address information up to date and accurate (Image: GETTY)

"Being lumped with a £1,000 fine is something few students can afford, but the costs could stretch even higher when it comes to your car insurance," explained Matt Oliver at GoCompare.

"Failing to notify your insurer of changes to circumstances, including your address, could result in you being refused when claiming on your insurance.

"A change of postcode will see your premium fluctuate due to factors like crime rate, risk of accident and how built up the area is, so it’s essential you are keeping your insurer up to date, as they need to assess the risk of your vehicle and adjust your premium accordingly."

One benefit of changing your address could be a crash in your premium costs.

Car insurance policies are based on a number of factors including the location of the vehicle and the area it is registered in, and in some cases premiums can actually tumble.

“If your car is registered at an address in a city, but you’re moving to an out of town campus, you could see your premium go down, whereas if you’re used to living more rurally, you could see your premium increase if you’re taking your car to a city."